Conditions to consider:
Prepayment type (Check, Credit Card)
Prepayment deposited in bank?
Refund needed or hold as a credit?
Linked Invoice, Posted or Not?
Paid by Gravity (integrated) Credit Card?
1. Customer Prepaid an Order and there is no Invoice for that order.
To confirm prepayment, open the Customer window
Click TRX > Prepayments tabframe
The prepaid amount should show in the Prepayments column and that same amount should NOT show in the Applied column on or after the post date of the Prepayment.
For a non-Gravity credit card, find the Order, then go to Commands > Receive Prepayment
Select Credit Card.
Enter a MINUS amount for the Prepayment Amount.
Apply to the same Order Number.
Click OK
For a Gravity (integrated) credit card, find the Order, then click the Credit Card button.
In the Total field enter the NEGATIVE of the amount you are refunding.
Click the Return button.
The Order prepaid amount will be reversed and the negative amount will show on the Credit Card Reconciliation window.
Confirm entry on the Customer TRX Prepayments window.
2. Customer Prepaid an Order or Pick Ticket and there is an UNPOSTED Invoice for that order.
Follow the same steps as #1 above.
This process needs testing.
3. Customer Prepaid an Order or Pick Ticket and there is a POSTED Invoice for that order.
If the Prepayment has not been applied to the invoice, Apply Prepayment using Commands > Adjust Receivables.
Refund the Invoice.
You can reverse a prepayment applied to an invoice by using Adjust Receivables and entering a Negative amount against the Prepayment (Customer Deposit) account.
Highlight the prepayment line. Enter a description and memo.
Credit and Applied amounts will be negative. Offset account should be prepayment from customers (see your GL#). Click OK. The prepayment will disappear and the original invoice amount will remain. At this point you can void the invoice if incorrect.
If the Prepayment has not been deposited and not been applied to an invoice:
Open the Customer window
Click A/R TRX
Click Prepayments
Highlight the prepayment that has been received
Click Undo Payment.
Need to confirm:
The prepayment transaction is zeroed out and the customer’s record is updated.
If the Prepayment has been deposited the amount in the bank has to be reversed.
The method to this is dependent on the final result desired, such as refunding, applying to an invoice, entry error, etc.
Likely there are still some unanswered questions on this process.
Revised: 09/11/2026 by AG